CIOs say that the current scenario of WFH will change the hardware industry in a major way
IT leaders point out as organizations shifted to the work-from-home; it gave rise to the new trend of Device-as-a-Service for both vendors and organizations. When the DaaS trend started in late 2019 key PC makers offered these services to their clients. Most organizations today prefer to opt for vendors with Everything as a Service option. CIOs say that in the current scenario vendors and PC makers have to opt for this service as a way of surviving through the pandemic. Such a service option will ensure meeting the consumer and business demands and expectations.
IT leaders say that when opting for DaaS service, vendors will take the devices like desktops, laptops, etc., and customize them with pre-configurations. This will ensure better security and productivity for the organizations. The monetary value for value-added services is also reduced, as firms can choose which services are on high priority. Such devices are used by the firms on a paid by consumption model rather than outright buying.
CIOs clarify that DaaS, is similar to the lease model but it focuses more on the services deployed in the devices rather than the device itself. They point out that the WFH norms were a good boost to the DaaS model. Organizations were forced to go on a laptop-buying frenzy, to enable remote workstations for their employees.
IT leaders preferred vendors who could provide them with fully pre-configured and loaded with relevant software to ensure employees could start working at the earliest. CIOs say that DaaS streamlined their process of enabling a huge volume of at-home employees with minimal issues.
Advantages and disadvantages of DaaS
IT leaders say that similar to any service model, DaaS has its own set of benefits and liabilities. On the advantages front, vendors can easily resell the device after it has been used by its clients, to new users at over 4 times the actual lifecycle of a device. This greatly enhances the ROI value for vendors.
They can sell one device after refurbishing at least 5 times instead of selling it one time as per the previous business plan. This way hardware vendors can make a profit even during unforeseen situations like the present where sales have considerably reduced.
CIOs point out that this model has the disadvantage of complicated supply chain processes. It may become too complex a process for the organization to identify a vendor who can create and maintain a supply of the required configured devices to meet the demands and requirements.
Client- and employee-driven approach
CIOs say that this model gained popularity as both employees and clients focused only on the result and not the way it was achieved. DaaS model provides a level of flexibility and value that meets the set expectations. The pay-as-you-go model is suited for organizations that want to test applications and devices upfront before buying them in bulk.